Is there any new info in the annual report?Stuck on dial up for...

Is there any new info in the annual report?

Stuck on dial up for a week and can't get hold of it.

Kate Moss, there are a heap of good old posts to trawl through but might take a while...as there is lots of day-to-day babble in there too (thanks partly to me).

The simplest (and probably most convincing) case can be made using a report posted by Wiza a few months ago. There is a regression analysis of Australian CBM companies, plotting there reserves against market cap. You can use that to come to an estimate of EPG worth. They have already state they have around 950 PJ of reserves (tentative), but have since said this will probably be upgraded by 30%. This is an estimate of only a small fraction of one of their tenements. The current tenement Enron estimated to have potentially 6000 PJ. Which ever figure you plug into that regression equation, it produces a figure several times market cap. I think a fair value is $6 if the tests come in as expected...i.e. if the 950 PJ figure ALONE comes in. The thing to remember with that regression equation too is that it uses Australian prices (heavy downward bias) but this is offset because of higher production costs in Europe and the nature of the coals in France tenements.

Hope this helps. All you need to do it find that report wiza provided in an old post.